Appraisal & Insurance Question

[jones47]

I know there have been a lot of appraisal posts, but I didn''t see an answer to this question.

I will be purchasing a diamond from GOG, but I want to do a custom setting, peobably with a local jeweler. Should I have the loose diamond sent to an indiependent appraiser now, and then have the ring appraised later once I have it all put together?

I''ll obviously want to insure the entire ring, but I''ll also want the diamond insured in the meantime. Does this mean I have to go through the appraisal process twice?

So confused, thanks for the help.

 

[denverappraiser]

There are plenty of people who choose to go through the appraisal process twice and, as an appraiser, I would like to thank those folks for their support. They generally do them for two very different reasons. The usual reason a client will get a loose diamond appraised is because they are seeking additional information that the dealer didn’t supply or because they are wishing to confirm or refute what the dealer has already told them. In most cases, having a 3rd party jeweler set the stone will void your ability to return it and it will interfere with the appraisers ability to do certain kinds of examinations like exact weight and sarin scans.

The second appraisal is to provide documentation for the purpose of securing an insurance policy, for judging the craftsmanship of the mounting and the assembly and to provide a starting point to define the exact condition of the finished piece as of a particular date to be used as a benchmark in the case it ever becomes necessary to make a replacement.

If you are satisfied with the information provided with the dealer, you aren’t concerned that anything was altered, omitted or is otherwise misleading, and you aren’t planning on using the results of the appraisal as part of your shopping decision for the diamond, you are fine to get a single appraisal after the setting.

As a side note, most insurance companies will not insure an unmounted diamond. Check with your carrier about their policies.

Neil Beaty
GG(GIA) ISA NAJA
Professional Appraisals in Denver

 

[jasper]

Please check with your insurance company about its policies.

You might want to have Good Old Gold ship the stone to you in a (cheap) temporary setting, for insurance purposes.

You might want to have Good Old Gold provide an insurance appraisal of the stone; otherwise, your insurance company will probably use the purchase price as the insurable value.

You might want to have your local jeweller provide an insurance appraisal of the stone in its final setting; otherwise, your insurance company will probably use the total purchase price as the insurable value -- even if this is less than the appraisal of the diamond by itself.

I also recommend asking your local jeweller whether they take full responsibility for the stone and ring while they are in their possession. I am glad I did:
https://www.pricescope.com/community/threads/seattle-area-jewellers.18415/

-- Jasper
http://www.folds.net/diamond

 

[jones47]

Thanks for the help. I may end up doing my setting with GOG after all, in which case I''ll probably just have the entire ring appraised, but I''ll put a call in to a couple of insurance companies to see what''s what. Thanks!